{"id":40,"date":"2026-05-22T18:32:59","date_gmt":"2026-05-22T18:32:59","guid":{"rendered":"https:\/\/summitrelocationtimess.com\/?p=40"},"modified":"2026-05-22T18:32:59","modified_gmt":"2026-05-22T18:32:59","slug":"these-are-the-mistakes-a-dying-empire-makes","status":"publish","type":"post","link":"https:\/\/summitrelocationtimess.com\/?p=40","title":{"rendered":"“These Are the Mistakes a Dying Empire Makes”"},"content":{"rendered":"
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It\u2019s been more than two months since President Donald Trump dropped the first bombs in his illegal war with Iran, and U.S. consumers are increasingly footing the\u00a0bill.\u00a0<\/p>\n

Read more Fortress Yellowstone<\/a><\/p>\n

With traffic through the Strait of Hormuz remaining a\u00a0tiny fraction of what it was before Trump began this latest regime-change campaign, oil prices reached a\u00a0four-year high of more than $125<\/span> per barrel last week. Over the course of the same week, average gas prices surged more than 30<\/span> cents to reach $4<\/span>.45<\/span> per gallon, roughly $1<\/span>.50<\/span> higher than the pre-war average. With no sign of reversing course, economists continue to warn of\u00a0recession.<\/p>\n

In late April, Norwegian professor Glenn Dieson sat down with Richard Wolff, one of the world\u2019s most prominent Marxist economists, to discuss how these impacts to the global economy will shape Trump\u2019s war plans (or lack thereof), and why the last two months have signaled the \u200b\u201c<\/span>decline of the American\u00a0empire.\u201d<\/p>\n<\/div>\n

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Glenn Diesen
<\/strong>Welcome back. We are joined today by Professor Richard Wolff to discuss \u200b\u201c<\/span>Economic Fury,\u201d the new arm of the U.S. war against\u00a0Iran.<\/p>\n

Richard Wolff
<\/strong>Glad to be here,\u00a0Glenn.<\/p>\n

Diesen
<\/strong>[Treasury Secretary] Scott Bessent has now complemented [\u201cOperation Epic Fury\u201d] with \u200b\u201c<\/span>Economic Fury,\u201d the sanctions policies against Iran. It\u2019s been a\u00a0bit confusing, because first there\u2019s a\u00a0sanction on all Iranian oil, then they open up the Iranian oil to help stabilize the markets. Then there\u2019s a\u00a0blockade on Iranian ports. How do you assess this new effort to strangle Iran?<\/p>\n

Wolff<\/strong>
Well, we have stopped following the kind of herky-jerky, on-again off-again statements, because they are so often inconsistent one with the other. Either you are going to take the steps that make oil supply more plentiful and drive down the price, or you\u2019re\u00a0not.\u00a0<\/p>\n

By the way, Mr. Bessent is now going to have to decide on the request of the Gulf states for what are called dollar swaps. This is not unimportant. The reason you establish [a dollar swap] is you have reason to believe that there\u2019s going to be a\u00a0shortage of\u00a0dollars.\u00a0<\/p>\n

All the swap means is that a\u00a0foreign central bank doesn\u2019t have to go into the market and buy dollars if it\u2019s short of them. It can simply grab a\u00a0bunch from a\u00a0swap agreement. It used to be that this was done on a\u00a0weekly basis. Now it is done on a\u00a0daily basis, which is already a\u00a0warning sign: Somebody is very worried about access to\u00a0dollars.\u00a0<\/p>\n

You discover who\u2019s worried, which shouldn\u2019t surprise you: The Gulf states. Many of them have now put pressure on the United States to give them credit swap facilities, or if they do have them, to make them much\u00a0larger.\u00a0<\/p>\n

Why would they do that? They have dollar-denominated debts. They expected to be able to pay off their dollar-denominated debts around the world, with the dollars coming in from oil and gas. But there are no dollars coming in because the Strait of Hormuz is shut, and the blockade makes it worse. So they can\u2019t pay off their\u00a0debts.<\/p>\n

I\u2019m going to guess that they\u2019re going to start selling their ownership of [U.S.] assets. They\u2019re going to sell Treasury securities. A\u00a0fire sale of Treasury securities brings their price down, and that raises the interest\u00a0rate.\u00a0<\/p>\n

We are on the edge of a\u00a0recession right now. If the Gulf states, en masse, were to sell lots of treasuries, you\u2019re going to see a\u00a0dangerous spike in interest rates in this country at a\u00a0time when the Trump administration wants everything other than\u00a0that.\u00a0<\/p>\n

You\u2019re beginning to see why a\u00a0significant number of commentators are waving their fingers warning that this event, which seems to be localized in the Persian Gulf and the [Arabian Sea] and so on, is in fact, dangerous for the whole world\u00a0economy.\u00a0<\/p>\n<\/div>\n

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Diesen<\/strong>
So essentially, the petrodollar is being unraveled to some extent. The Gulf states are not exporting, which means they\u2019re not getting the dollars, which means they\u2019re not reinvesting them into the United\u00a0States.\u00a0<\/p>\n

How long can the United States hold on to this\u00a0position?\u00a0<\/p>\n

Wolff
<\/strong>I don\u2019t have a\u00a0crystal ball. But Mr. Trump has lost a\u00a0great deal of his base. People who voted for him because of one or two or three issues\u2009\u2014\u2009those people, he has now lost. Trump cannot afford a\u00a0spike in interest rates. He is, at this point in my judgment, relying on two things to survive politically: Whatever remains of the MAGA base, and the richest 10<\/span>% of the United\u00a0States.\u00a0<\/p>\n

The stock market is very high. It took a\u00a0momentary dip with the Iran war, but it basically presumes that this war will be over soon and it will not cost any rich person\u00a0anything.\u00a0<\/p>\n

Read more Exclusive: FBI Files Counter Government Argument in Texas \u201cAntifa\u201d Trial<\/a><\/p>\n

Therefore, Glenn, here is the closest I\u2019m going to come to a\u00a0prediction. My guess is the government will give the states all the swap they want, give them access to as many dollars as they need to pay off as many debts as they have without selling treasuries or disinvesting in the U.S. stock market, because it\u2019s too\u00a0dangerous.\u00a0<\/p>\n

They told themselves that they could go into Iran and decapitate the Ayatollah and kill a\u00a0few other leading generals and advisors, and that the system would collapse. [The] United States could then dictate terms for a\u00a0new government, regime change and a\u00a0new Shah of Iran, replicating more or less what the Shah of Iran used to do for the United\u00a0States.<\/p>\n

There\u2019s a\u00a0clip of Vance [almost] a\u00a0year ago talking about war in Iran. It has Vance explaining why going into the war with Iran is a\u00a0good idea. A\u00a0very strong endorsement by the vice president, in which he says [something like] the following: Previous presidents all knew that Iran was a\u00a0disaster for the United States, but they were too dumb to do anything about it. The difference is, Trump isn\u2019t too dumb, and we\u2019re going to do it when, well, Obama didn\u2019t and Bush didn\u2019t, and Clinton didn\u2019t, and we\u2019re going to do\u00a0it.\u00a0<\/p>\n

That\u2019s why, when Tulsi Gabbard and other intelligence officials told them they were wrong about Iran, they just didn\u2019t listen. It was too attractive. And now the on again, off again oil management. This is a\u00a0desperate government whose plan is shot, whose opportunities in that direction are all gone, and it\u2019s trying desperately to figure out how to get out of\u00a0this.<\/p>\n

For several months, they would kill two or three people in a\u00a0boat near Venezuela. No arrests, no trial, no lawyer. When we arrest people for drug traffic, which we do inside the United States, they automatically are entitled to a\u00a0lawyer, a\u00a0trial, to defend themselves. So here we have a\u00a0complete negation of the entire legal apparatus, and that is too much for a\u00a0significant number of people who otherwise would like Trump, but they can\u2019t go with\u00a0this.<\/p>\n<\/div>\n

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Diesen<\/strong>
If the war continues, the United States will suffer immensely. However, if Trump leaves, and the Strait of Malacca is under Iranian control then Iran has already announced its measures. It has now set up a\u00a0toll which it will get its reparations from, so it can rebuild from the U.S. attack. No matter what the United States does now, there\u2019s no going back to the way things\u00a0were.<\/p>\n

Wolff
<\/strong>Trump has declared that the assassination of the Ayatollah equals regime change. He\u2019s made that simple equation so he can repeat over and over again. He is going to overwhelm the\u00a0media.<\/p>\n

He\u2019s probably going to have some dramatic maneuver that he can sell as a\u00a0victory. There\u2019ll be some Marines who take over an island somewhere in the Persian Gulf. At the same time, you and Israel bomb a\u00a0few bridges, an electric plant, maybe a\u00a0desalination plant, who knows? And then say, The Iranians have asked us to have peace, and now that there\u2019s a\u00a0new regime, we change the regime and we punish\u00a0them.<\/p>\n

That will be the best he can do. Tucker Carlson isn\u2019t that stupid, nor is Marjorie Taylor Greene, nor are all the others who are critical. So he will suffer. But that will be the comic book story that will be told to large numbers of people\u2009\u2013\u2009even those who don\u2019t like him\u2013 because it conforms. Let me give you the proof: When I\u00a0travel around the country, and I\u2019m asked to give a\u00a0talk about the 20<\/span>th<\/sup> and 21<\/span>st<\/sup> century U.S. economic development, I\u00a0mention the war in Vietnam. \u200b\u201c<\/span>In 1975<\/span>, the war ended. The United States lost, and the Communist Party of North Vietnam won. And how do you know they won? Because they\u2019re the ones in charge of Vietnam now, and that\u2019s a\u00a0big clue.\u201d The students laugh, but I\u00a0would bet my money that more than half of the students in the room, if asked by questionnaire in the next 10<\/span>\u00a0minutes who won the war in Vietnam, they would answer the United\u00a0States.<\/p>\n

It\u2019s not because they never studied the war, it\u2019s that in the United States, America wins. When the President of the United States says that ever since World War II, the European nations have taken advantage of the United States, that\u2019s what most Americans probably believe. We won World War II, then the Marshall Plan was our extraordinary kindness in helping you over there rebuild after the war, and some of those debts you haven\u2019t even paid back. And when I\u00a0explained to people that the Marshall Plan required that the dollars given to Europe be spent on American exports, and therefore it was a\u00a0kind of Keynesian stimulus, they know what I\u2019m saying, but they don\u2019t want to go there. They resist. That\u2019s what I\u00a0think he\u2019s going to do. He\u2019s going to play the one hand he has left: the American desire for a\u00a0victory.<\/p>\n<\/div>\n

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Diesen
<\/strong>The history in Europe isn\u2019t always well-remembered. There\u2019s very interesting polling in France from 1945<\/span>. They asked who was mostly responsible for defeating Nazi Germany, and there\u2019s an overwhelming majority saying that was the Soviet Union. In 2018<\/span> only 15<\/span>% of the French believed that it was the Soviet Union who contributed the most. If you challenge this, people will go to great lengths to ignore\u00a0it.\u00a0<\/p>\n

Wolff
<\/strong>We have a\u00a0senator from Alabama, Tommy Tuberville. When he ran for office, he gave a\u00a0speech saying he was proud of his father, who fought in World War II against the communists, and he had to wait until the reporters explained to him, the communists were our allies. Fascists were the\u00a0enemy.<\/p>\n

Diesen
<\/strong>Do you see any ways of saving the petrodollar where we are\u00a0now?<\/p>\n

<\/p>\n<\/div>\n

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Wolff
<\/strong>The way I\u00a0make sense of the larger context of what\u2019s going on is the decline of the American empire. You go to war in Iran, you think it\u2019ll have no more effect than snatching Mr. Maduro and his wife from their bedroom, you\u2019re making unbelievable mistakes. In my judgment, those are the mistakes a\u00a0declining empire makes, and those are the mistakes that accelerate the decline. The dollar is not playing the role it once did. The Iranians are accepting payment not in dollars anymore for oil. I\u00a0don\u2019t see any reason to suspect that other countries won\u2019t do that. I\u00a0don\u2019t see any strategy in the United States that can cope with\u00a0that.\u00a0<\/p>\n

The promise of the last 10<\/span> presidents was to reverse the decline of American manufacturing. None of them delivered it. Mr. Trump is not delivering it either. Manufacturing is being handled by China and a\u00a0few other places. In China, inflation for the last several years has been less than 1<\/span>%. They are producing enough material that they can produce drones and missiles forever. They have an immense border with Russia so they can share all of that with Russia. And Russia has the Caspian Sea, which allows it to share it with Iran. Of course Iran isn\u2019t going to run out. If Russia and China help, which they are, you have to face that. Venezuela had none of that. And for me, these are symptoms of a\u00a0declining empire whose people have never been prepared to imagine that their empire would decline. The United States is at the top, and so it will be forever. Once you lay it out, it\u2019s so crazy that you realize the denial is also a\u00a0part of the\u00a0decline.<\/p>\n

Read more After Decades of Quiet Rumbling, an Epidemic Is Erupting Among California Stoneworkers<\/a><\/p>\n<\/div>\n<\/div>\n<\/article>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

A conversation with professor and economist Richard Wolff on operation “Economic Fury” and the fragility of the petrodollar<\/p>\n","protected":false},"author":1,"featured_media":39,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[],"class_list":["post-40","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"\n"These Are the Mistakes a Dying Empire Makes" - Summit Relocation Timess<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/summitrelocationtimess.com\/?p=40\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\""These Are the Mistakes a Dying Empire Makes" - Summit Relocation Timess\" \/>\n<meta property=\"og:description\" content=\"A conversation with professor and economist Richard Wolff on operation "Economic Fury" and the fragility of the petrodollar\" \/>\n<meta property=\"og:url\" content=\"https:\/\/summitrelocationtimess.com\/?p=40\" \/>\n<meta property=\"og:site_name\" content=\"Summit Relocation Timess\" \/>\n<meta property=\"article:published_time\" content=\"2026-05-22T18:32:59+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/summitrelocationtimess.com\/wp-content\/uploads\/2026\/05\/dcbdda5ad0b8299f7243db6be5d8340d.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"630\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"11 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/summitrelocationtimess.com\\\/?p=40#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/summitrelocationtimess.com\\\/?p=40\"},\"author\":{\"name\":\"admin\",\"@id\":\"https:\\\/\\\/summitrelocationtimess.com\\\/#\\\/schema\\\/person\\\/78261b7043eb436872da19e7c8eda597\"},\"headline\":\"“These Are the Mistakes a Dying Empire Makes”\",\"datePublished\":\"2026-05-22T18:32:59+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/summitrelocationtimess.com\\\/?p=40\"},\"wordCount\":2173,\"commentCount\":0,\"image\":{\"@id\":\"https:\\\/\\\/summitrelocationtimess.com\\\/?p=40#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/summitrelocationtimess.com\\\/wp-content\\\/uploads\\\/2026\\\/05\\\/dcbdda5ad0b8299f7243db6be5d8340d.jpg\",\"articleSection\":[\"News\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/summitrelocationtimess.com\\\/?p=40#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/summitrelocationtimess.com\\\/?p=40\",\"url\":\"https:\\\/\\\/summitrelocationtimess.com\\\/?p=40\",\"name\":\"\\\"These Are the Mistakes a Dying Empire Makes\\\" - 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